Reference no: EM132196430
1. What kind of information does Sarah have that could harm Garon? 2. What type of business was Sarah attempting to create? 3. What restrictions does the court impose?
Refernece:
ISSUES: Did Sarah breach her agreement not to disclose? Did she reveal trade secrets? Was
Garon entitled to an injunction?
DECISION: The court found that Sarah had violated the agreement through certain of her actions and that she had revealed some information that constituted trade secrets. However, an agreement to not disclose is still a covenant not to compete and balancing in required between Garon’s rights and Sarah’s ability to earn a living.
The court therefore issues a tailored injunction that spelled out what Sarah could and could not do for the next eight months.
Sarah is enjoined from soliciting business for the Supplier from any cheese manufacturer whose account she was assigned to manage during the twelve months before she stopped working for Garon. This injunction shall last for eight months following entry of this preliminary injunction.
This preliminary injunction does not prevent Sarah from servicing any of these cheese manufacturers who independently become customers of the Supplier by means other than her solicitations.
Sarah is enjoined from soliciting business for the Supplier from any cheese manufacturer she knows is or was a Garon customer by mentioning or using any specific information in the solicitation about their past purchasing needs or sales terms. This restriction includes mentioning in the solicitation the specifications of the products she knows from her experience at Garon were sold to that cheese manufacturer by Garon.
This preliminary injunction does not prevent Sarah from responding to a cheese manufacturer's request for products that it has purchased from Garon so long as the request for those products is initiated by the cheese manufacturer.
Sarah is enjoined from referring in her solicitations to (1) Garon or (2) any other information from which a cheese manufacturer is likely to draw the conclusion that the Supplier provides Garon with the products Garon sells under its name. This restriction includes, but is not limited to, mentioning in the solicitation the specific weights of products in conjunction with the method of packaging that were sold exclusively by Garon (e.g., 43–pound pails) and inviting the cheese manufacturer to compare the quality audit documentation of Garon and the Supplier.
This preliminary injunction does not prohibit Sarah from responding to a cheese manufacturer's request for products packaged in the specific weights and methods sold by Garon or for a list of the packaging weights and methods available from the Supplier, so long as the request is initiated by the cheese manufacturer.